It doesn’t matter what stage of business you’re in; there are times when you just need to save a little money. Maybe you need to expand, and that can get expensive. Maybe there’s a new product you want to launch. Doesn’t matter the reason, entrepreneurs and new business owners should always be looking for new ways to save money.
Luckily, there are more resources available today than ever before. So, if you’re looking to get a little thrifty, here are a few great ways to get the ball rolling.
Focus on Inbound Marketing
Inbound marketing consists of things like your social media presence, blog posts, YouTube videos, etc. Content that’s created to be where your customers are and magnetize them towards you.
Outbound marketing is paid advertisements of any kind. A perfect strategy will usually have a balance of inbound and outbound efforts at play.
However, outbound and paid advertising gets very expensive, very quickly. Outbound greatly depends on how much money you can hand over for how long. Inbound marketing on the other hand has an upfront cost (time, money or both) but can stay in circulation for free via social media channels and other sharing methods.
Inbound has proven time and time again to have an excellent ROI. So, if you need to tighten your belt a little bit, spend a little more time on inbound and wait on the ads until you’re sure you can really pay for them.
Re-Prioritize the Budget
Look at where the money is going and figure out if there might be a better way to delegate funds.
Do some things appear to be saving you money, but aren’t? For example, any legal or contract issues. There is an abundance of DIY legal resources that will help you file paperwork and even draft up contracts. Is this going to be a real savings when you’re facing a lawsuit?
An accountant can be viewed as an expense that’s easily saved by using some software or doing it yourself. But, is that savings going to translate come tax time? Do you know everything you need to know to perform that job? This leads us to the next tip.
Keep Immaculate Records
If you aren’t recording activity properly, how can you identify any trends or potential hemorrhages? A good accountant will make this all very painless and easy. But, if you’re your own accountant, keep your records pristine from the get-go.
This is an area that many entrepreneurs struggle with; it’s just overwhelming. If you can afford an all-inclusive account solution or an accountant, get into a system you can work with easily. Having well-kept records pay for themselves, and they look great to potential investors as well.
Build the Business First
If one of your reasons for wanting to save some money is for expansion, consider a few things first.
What are all the real costs that are going to be associated with your expansion? Can you cover them right now, or, do you have a timeline for when you’ll break even?
Make sure your business is built up as much as it possibly can be before expanding. It’s a common mistake to see growth and feel cramped prematurely. Try to get by, keep your data clean and accurate and then expand when it truly makes the most sense.
What I’d like to leave you with is when you’re hunting for new solutions, consider the price to performance ratio. Sometimes it takes something as simple as a little education to open new doors to saving money.